state/nation/world
Thatcher rallies Conservatives; opposition calls for resignation
By EDITH M. LEDERER
Associated Press Writer
LONDON Prime Minister Margaret
Thatcher battled shouts of derision and calls
for her resignation yesterday in what the
news media called a life-or-death Parliament
speech to rally her Conservative Party from
the embarassment of two major Cabinet
resignations.
Thatcher won solid backing from her Con
servatives, including former Defense Secre
tary Michael Heseltine, whom she had
blamed for sparking the political crisis. He
As Philippine President Ferdinand E. Marcos (right) examines his hand, his vice presidential campaign rally Sunday In Bacolod city on Negros Island, 300 miles southeast of Manila. About
running mate, Arturo Tolentino dozes off. The men were waiting for their turn to speak at a 40,000 people attended the rally.
Marcos says Aquino might declare martial law
By DAVID BRISCOE
Associated Press Writer
MANILA, Philippines President Ferdi
nand E. Marcos yesterday warned that Cora
zon Aquino, his rival for president, might
declare martial law if she is elected. But
Aquino said only Marcos could do that, per
haps even before the Feb. 7 election.
She said Marcos' statement indicates Mar
cos realizes she and her running mate Salva
dor Laurel are going to win. "I think he is
panicking," she said.
Both candidates drew big crowds yesterday
Marcos in a stadium on Panay island in the
central Philippines island, Aquino at a busy
intersection in the nation's business center.
Reporters estimated each crowd at more than
50,000.
In addition, tens of thousands cheered mo
torcades of both candidates and packed other
rallies.
Manila's military police chief, Maj. Gen.
Prospero Olivas, meanwhile declared a city
wide "red alert," a routine measure for
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seltine had said he was leaving because the accused her of a cover-up involving a leaked
prime minister had used unconstitutional letter, critical of Heseltine, that subsequently
means to steer the Cabinet toward favoring led to the resignation of the second Cabinet
an American bid over a European attempt to member, Trade and Industry Secretary Leon
rescue Britain's failing Westland PLC heli- grittan. He took responsibility for the news
copter company. leak.
Thatcher won a technical vote to close the
raucous, three-hour debate in the House of
Commons by 379-219. Her Conservatives have
a 143-seat majority in the 650-seat house, but
the significance of the action was that nearly
all her party members were present and
voted together.
During the debate, opposition legislators
Philippine elections although not usually done
this early. It means soldiers cannot go on
leave and security is tightened at police and
military installations.
Olivas spoke of intelligence reports indicat
ing that 200 to 300 communist rebels planned
to sow terror and violence in Manila during
the election.
He reported no actual incidents and did not
say how the rebel presence was known or why
they had not been arrested.
The alert could set up the option for Marcos
of declaring a state of emergency to call off
the election. He has said he would not-call-it
off unless rebels attacked the cities.
Marcos, who ruled by martial law between
September 1972 and January 1981, gave no
reason for suggesting yesterday that Aquino
intended to declare martial law.
"We won't allow them (to declare martial
law) because we won't allow them to win the
election," Marcos told a crowd in Bacolod, 300
miles south of Manila.
Aquino, interviewed before one of a half-
Thatcher said in her speech to a raucous
house that both matters could have be han
dled better. The opposition erupted in deri
sive laughter and hoots of derision.
.
David Owen, leader of the centrist Social
Democratic Party, told Commons Thatcher
"is not worthy to hold the high office that she
does."
dozen rallies in the Manila area, denied she
would declare martial rule.
"It is only Marcos who has declared martial
law. Maybe it is he who intends to declare
martial law again before the election," she
said.
U.S. Ambassador Stephen Bosworth told a
civic club yesterday that violence, bribery
and vote-buying could damage the credibility
of the election and harm U.S. efforts to help
after a president is "elected or re-elected."
Bosworth said the U.S. government is dis
turbed by reports of pre-election irregulari
ties.
He said Filipinos' judgment on "the credibi
lity of the election and the validity of the
result will affect our ability to work with the
new government in helping to address the
serious problems of the country."
In Washington, State Department spokes
man Bernard Kalb stressed yesterday: "The
United States government is neutral in the
Philippines election campaign. We do not
support any individual candidate or party. We
have not been and will not be partisan."
Exxon to repay consumers $2 billion
By JAMES H. RUBIN
Associated Press Writer
WASHINGTON, D.C. The Supreme Court
yesterday, in effect, said Exxon Corp. must repay
consumers nationwide more than $2 billion in
refunds and interest for overcharging on the sale
of oil from a Texas field.
The court, without comment, let stand a ruling
that the money be distributed to the states and
spent on programs to help the needy and energy
consumers.
The penalty against Exxon is the largest mone
tary judgment in American history to be upheld on
appeal.
Last November, a state jury in Texas ordered
Texaco to pay $10.53 billion to Pennzoil for improp
erly interfering with that company's acquisition of
Getty Oil Co. Appeals in the case are pending.
The judgment against Exxon, ordered by a
federal judge in 1983, was upheld last July by a
special federal appeals court here.
Exxon, the nation's largest corporation, was
found to have overpriced oil from the Hawkins
field near Tyler, Texas, between 1975 and 1981.
The corporation, in a Supreme Court appeal
supported by the U.S. Chamber of Commerce, said
it was the victim of confusing federal regulations.
Exxon lawyers said the corporation was penalized
for expanding production at a time of heightened
national concern over energy shortages.
The Supreme Court also was urged by the airline
industry, other oil companies, a utility company, a
trucking firm, a taxicab company and a motorist
to review the case and order redistribution of the
money. They said they should be reimbursed for
buying overpriced oil from Exxon.
Exxon was found to have made illegal profits of
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•
Labor Party -leader Neil Kinnock had
called yesterday's emergency debate, saying
it was to determine if Thatcher was involved
in the leaking of the letter and if she had lied
in earlier statements to Parliament.
"Today the prime minister is on trial,"
Kinnock said in opening the debate.
Thatcher maintained that for 16 days after
Brittan leaked the letter on Jan. 6, she did not
know of his involvement.
She said an inquiry determined that the
letter was leaked to the news media as a
result of a misunderstanding between offi
cials of the Trade and Industry Department
Marcos' opponents have accused him of
trying to rig the election. Thirteen people
have died in violence connected with the
campaign, which Marcos called early to dem
onstratehis popularity after 20 years in pow
er.
Bosworth's remarks followed a warning
from a member of Marcos' Cabinet, Labor
Minister Blas Ople, against U.S. meddling.
Ople told a breakfast forum that U.S. con
gressional investigations of the Philippines
and the disclosure of Marcos' war records
appeared to be more than coincidence.
"If Americans do not watch out, this kind of
naked, outright meddling in the Philippine
election can lose them the Philippines," he
said.
Marcos briefly mentioned the controversy
over his more than two dozen war medals.
Referring to U.S. newspaper reports question
ing his claim to have led a guerrilla unit,
Marcos said, "Let's ignore it completely as
the inanities of bored, desperate minds."
$895.5 million by classifying so-called "old" oil as
"new" oil, and thus selling it at nearly twice the
The federal controls that created the two-tier
pricing system were removed by President Rea
gan immediately after he took office in 1981.
The balance of the judgment against Exxon is in
interest charges of approximately $500,000 a day.
Exxon said in a statement it was "extremely
disappointed" in the decision not to review the
case.
"We had hoped that after a review of the case,
the Supreme Court would agree that the District
Court summary judgement included major ineq
uities and that Exxon and other producers should
be allowed to present their complete case in
court," Exxon said.
It added that the decision not to review I.h .. e_c_ase
"continues a trend of judicial rulings unfavorable
to the oil industry which have involved a myriad of
legal issues arising from the complex regulations
promulgated during the -- period of federal price
controls."
Exxon was ordered to pay the $2 billion to the
federal government for redistribution to the states
based on their energy consumption during the
period of overpricing.
The states must spend the money on energy
conservation, such as weatherizing buildings and
reducing consumption by schools and hospitals,
and to aid the poor with home utility bills.
The judgement should provide at least $92 mil
lion by late April for Pennsylvania state energy
aid programs, Attorney General Leßoy Zimmer
man said.
The decision came as two groups charged that
Pennsylvania's major energy assistance program
is shortchanging the poor this winter. The Penn-
The Daily Collegian
Tuesday, Jan. 28, 1986
and bureaucrats at her No. 10 Downing St
office.
"I did not give my consent to disclosure,"
the prime minister told Parliament. "It was
not sought. And I have indicated I deeply
regret the manner in which it was made." .
She said Trade and Industry officials had
contacted her office seeking agreement to the
disclosure, but her staff thought they were
just being informed, and were not being
asked for authorization.
Brittan, who resigned Friday after Thatch
er first disclosed his responsibility for the
leak, backed her account.
U.S. to beam
TV to world
WASHINGTON, D.C. (AP) The
Reagan administration plans to use
satellites and cable television to get
its message across to a big slice of the
non-communist world.
Last April, the United States Infor
mation Agency, moving away from
what one of its officials calls its
"backwater" status, embraced TV
technology and started beaming two
hours a day of television program
ming to European cable television
systems. USIA claims it now reaches
more than one million Europeans
through a number of cable compa
nies.
By the end of next year, USIA will
extend the service to Latin America,
Africa, the Middle East and Asia.
USIA calls its TV service "World
net." The centerpiece is a daily 30-
minute magazine show called
"America Today," a combination of
news, features and interviewws.
The satellite feed recently has in
cluded interviews with singer Pearl
Bailey, Queen Noor of Jordan, author
James Michener, astronaut Sally
Ride and polio vaccine pioneer Dr.
Jonas Salk.
A weekly "Science World" show
offers documentaries produced by
USIA with the help of American cor
porations.
Chrysler Corp. cooperated in one of
them, showing off its computerized
auto assembly line. On another, TRW
told how it was able to capture an
errant satellite and put it on its prop
er path.
The service is part of the Informa
tion Agency's effort to use technology
to promote the administration's polit
ical views and to tell the story of
America's people, science and cul
ture.
The Soviet Union, not surprisingly,
is not pleased by the celestial broad
casting operation. A Moscow com
mentator said last year Worldnet is
being "used by Washington to impose
its foreign policy line upon other
countries."
The trans-oceanic experiment be
gan in November 1983 when the ad
ministration, stung by foreign
criticism of the U.S.-led invasion of
Grenada the previous month, ar
ranged a satellite interview featuring
top U.S. officials and 40 journalists
based at five U.S. embassies in Eu
rope.
A month later, USIA achieved an
other breakthrough when it arranged
an extraterrestrial news conference
with the crew of the Earth-orbiting
shuttle Challenger, 147 miles aloft.
Taking part were President Reagan
in Washington, West German Chan
cellor Helmut Kohl in Bonn and 70
European journalists in eight coun
tries.
sylvania Gas Association and the Pennsylvania
Public Interest Coalition said reduced grants are
causing hardships for the needy.
Zimmerman said Pennsylvania probably will
receive its share from the Exxon judgment within
"the next two to three months."
Exxon operates the Hawkins oil field and owned
two-thirds of it. In the mid 19705, the company
began to enhance the recovery of dwindling crude
oil production there by spending some $220 million
to pump in inert gas to create additional pressure
for forcing out the oil.
The improvements will yield approximately 70
million barrels of additional crude, Exxon said.
As part of the enhancement program, the other
leaseholders in the field no longer get the specific
production of their individual wells. Instead, they
are paid a percentage of the field's production.
The dispute over what is old oil and what is new
involves exactly when that accounting changeover
took place.
Exxon said federal energy officials created "an
- uncertain, constantly shifting and incoherent cra
zy-quilt of regulatory prescriptions" that the cor
poration found impossible to obey.
But U.S. District Judge Thomas Flannery, in his
1983 ruling against the corporation, said, "Eikon
was hardly an innocent abroad, interpreting in the
midst of confusing babble a direction sign labeled
in a foreign language."
The corporation should not be allowed "unjustly
to reap huge profits from its dubious exploration of
the limits of regulatory tolerance," he said.
The Department of Energy also is seeking to
recover billions of dollars from other businesses
that allegedly violated the former federal regula
tions in overpricing oil.
Australian beer maker bids on I.C.
PITTSBURGH (AP) A subsidiary of a company controlling
nearly half of all beer sales in Australia yesterday offered $27
million in cash for the stock of Pittsburgh Brewing Co., the ninth
largest U.S. brewer and the bottler of locally popular Iron City
Beer.
Pittsburgh Brewing spokesman William Eiler declined comment
but said the company might respond today.
Swan Acquisition Corp., a subsidiary of The Swan Brewery Co.
Ltd. of Canningvale, Western Australia, offered $21.50 per share for
Pittsburgh Brewing's 1.25 million shares outstanding.
Swan Brewery is a subsidiary of Bond Corp. Holdings Ltd., a
holding company that recently acquired Castlemaine Toohey's Ltd.
of Eastern Australia, the continent's second-largest brewer,
according to Swan's printed offer. Swan and Castlemaine together
represent 45 percent of all beer sales in Australia.
The offer stands only if Pittsburgh Brewing's management
withdraws a previous offer to pay $26.5 million in cash and
securities for the company.
Management's plan offers $l7 per share in cash and bonds with a
cash value estimated at $4 per share.
"Swan is offering cash, and cash in hand is always looked upon
more favorably," said Robert P. Kanters, a securities analyst for
Legg Mason Masten Inc. of Pittsburgh.
Swan said it acquired 186,700 shares, or 14.9 percent, of Pitts
burgh Brewing stock between Jan. 6 and Jan. 20 when the stock
was trading over the counter at prices ranging from $17.75 per
share to $19.50 per share.
Hundreds fired for honoring strike
AUSTIN, Minn. (AP) Hormel fired hundreds of union meat
packers yesterday in Texas, Nebraska and lowa for refusing to
cross picket lines set up by workers who have been on strike
against the company's flagship plant for more than five months.
"We have contracts in place at those plants, and we expect our
people to honor those contracts," said Chuck Nyberg, senior vice
president of Geo. A Hormel & Co., which is based in Austin.
Minnesota's governor asked both sides yesterday for a 48-hour
cooling-off period.
The president of the union local in Austin said the firings
increased the stakes in the dispute that began in August when 1,500
workers went on strike over wages and other issues.
"The fact that the company has fired those people puts us in a
position to bargain. The company will have to bargain with us all,"
said Jim Guyette, president of Local P-9 of the United Food and
Commercial Workers union.
Nyberg said a "substantial portion" of the 800 union workers at
Hormel's Ottumwa, lowa, plant were fired when they honored
Local P-9's picket line.
"A few" workers were fired at the company's Dallas plant, and
"about 60" were fired at a plant in Fremont, Neb., Nyberg said.
Union spokesman Al Zack said the international union had not yet
determined how many workers were fired. "The lowest number
I've heard from Ottumwa is 350, but I'm also hearing numbers as
high as 650," he said. Guyette said eight workers were fired at the
Austin plant for their activities on the picket line. Local 431 in
Ottumwa asked the Austin workers to stop picketing.
"We already have applications on file and we are starting to
interview people who want to work in those plants," Nyberg said.
In Austin, the Hormel plant was open yesterday, but pickets
walked outside and National Guardsmen continued to patrol.
Pickets will be sent to other plants this week as well as to a
stockholders' meeting today in Houston, said Ray Rogers, a strike
strategist hired by Local P-9.
The union also called for a national boycott of Hormel products.
It said 500,000 letters would go to unions nationwide this week
seeking support for the boycott of SPAM, bacon and other Hormel
products.
Local P-9's parent union did not sanction the boycott or pickets at
other Hormel plants, said Zack.
"We said it made no sense to spread the misery, to put workers at
other Hormel plants in jeopardy in what we thought was a hopeless
cause," Zack said.
Challenger launch delayed again
CAPE CANAVERAL, Fla. (AP) Fierce winds and a stubborn
hatch bolt forced NASA yesterday to again scrub the launch of
Challenger with schoolteacher Christa McAuliffe aboard, the
second straight shuttle mission hindered by fickle Florida weather.
Although the weather was perfect at the scheduled launch time of
9:37 a.m. EST, the problems with the hatch started about an hour
before that. They were not resolved until shortly before noon when
workers used a hacksaw on the bolt after contending with the late
delivery of tools, a drill with a dead battery, and broken drill bits.
By the time the workers' comedy of errors ended, the winds
strengthened and sent gusts of 30 mph whipping across a runway
where Challenger would land if there were an emergency after
liftoff. Winds of more than 17 mph are considered dangerous for a
landing.
Launch director Gene Thomas called off the effort about 12:30
p.m., the third weather postponement in as many days for the
flight.
Officials rescheduled the launch for 9:38 a.m. EST today.
world news briefs'
Azcona Hoyo takes office peacefully
TEGUCIGALPA, Honduras (AP) President Jose Azcona
Hoyo, taking office in Honduras' first peaceful transfer of civilian
governments in more than a half-century, vowed yesterday to
improve the economic and social standards of his country's 4.5
million people, most of whom are desperately poor peasants.
Azcona Hoyo, a 59-year-old civil engineer, was inaugurated in the
capital's national sports stadium before about 40,000 spectators.
"To the United States of America, we reaffirm our friendship,
and we vow to work for a pluralistic, participatory democracy," he
said.
Azcona Hoyo's administration is expected to smooth ruffled
relations with the United States, which hopes to strengthen Hondu
ras as a bulwark against communism in Central America. Vice
President George Bush led the U.S. delegation to the inauguration.
The new president also pledged his administration's support for
the so-called Contadora process, a multinational effort to negotiate
a peace treaty to end regional conflicts in Central America.
Honduras is the third poorest country in the Western Hemi
sphere, after Haiti and Guyana. It has an unemployment rate of
more than 40 percent, an illiteracy rate of 40.5 percent and a foreign
debt of $2.3 billion. Its infant mortality rate is the highest in Latin
America.
It also has been one of the hemisphere's most unstable nations. In
its 165 years of independence, it has suffered 385 armed rebellions
and changed its government 126 times. Azcona Hoyo is the 75th
president.
Since 1981, two years after the leftist Sandinistas came to power
through revolution in neighboring Nicaragua, the United States has
given Honduras more than three-quarters of a billion dollars in
economic and military aid.
But Washington's relationship with outgoing President Roberto
Suazo Cordova, 70, began souring two years ago when he started
maneuvering to extend his four-year term.
Washington worked quietly to thwart Suazo Cordova's ambitions,
and he retaliated last fall by reportedly blocking U.S. aid ship
ments to the anti-Sandinista guerrillas trying to overthrow the
government of Nicaragua. Diplomatic sources in Washington and
Tegucigalpa think that one of Azcona Hoyo's first acts will be to
quietly lift the embargo on aid shipments.
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Available after 11 a.m.
DAILY in DOUGH TO GO
Made fresh on premises
If you believe you have more talent in your big toe than anybody you've ever met,
then direct your feet to the sunny side of the street. Because Busch Gardens, that
wildly entertaining and exotic attraction in Tampa, Florida, is on the hunt for excep
tional talent to join our rare breed of entertainers.
Seeking strong male and female singers who dance well, and feature dancers. Bring
dance attire and be prepared to show movement ability. Singers are required to
prepare short vocal selections (ballad and uptempo) and should bring sheet music
in their best key. Accompanist will be provided.
Seeking musicians who play primary and secondary instruments, as well as, Accor
dian, Steel Guitar, Country Fiddle, Tuba and Percussion and brass players experi
enced in dance/marching band style. Musicians should prepare two selections
which demonstrate their abilities,
Atmosphere Entertainers
Seeking experienced performers with background in comedy and improvisation.
Bring necessary props and prepare a two-minute comedy piece to demonstrate
special abilities.
To audition, you must be 18 years or older. Auditions are held on a first come basis
Plan to join us:
Wednesday, January 29,1986
Hyatt Pittsburgh at Chatham Center
112 Washington Place o Pittsburgh, Pennsylvania
10:00 A.M. to 5:00 P.M.
Singets&Dancers
Musicians
H
GABUSC DENS
TAMPA. FLORIDA
Attention!! PSU STUDENTS LIVING OFF CAMPUS
FOCUS PRESENTS:
HOT itt WAR,,,QUESTIONS???
Call 238-6739
lunch encounters or 863-4624
It's true there is no such thing as a free lunch, but for
$l.OO you can't beat what you'll get at the
Wesley Foundation
We'll not only be serving some fine
11:30.1:30
homemade soup, breads, and salad, Wednesday, Jan. 29
we'll be running a short program
which will help you meet some of your off-campus colleagues.
The goal of this program is to clearly establish that winter hibernation is strictly
for the bears.
FOCUS: For Off Campus University Students providing programs for the
special needs of off campus students.
AVei
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The Daily Collegian Tuesday, Jan. 28, 1986-5
Equal Opportunity Employer M/F/H/V